Below are the key morning headlines from today’s papers, featuring the Financial Times, The Times, The Telegraph, The Daily Mail & more - see the full Press section here.
End of an era as Rupert Murdoch sells £11.6bn Sky stake. Rupert Murdoch is to exit Sky (SKY) nearly three decades after launching the British satellite broadcaster, bringing to an end a turbulent era in the history of British television. 21st Century Fox is to sell its 39% stake in Sky to Comcast for £11.6 billion, halting Mr Murdoch’s ambition to take full control of the broadcaster before he sells a large part of his media empire to Walt Disney.
Breakdown at the AA: Bosses blame former private equity owners as £100m is wiped off firm… but sacked chief exec says it’s all their fault. The sacked former boss of AA (AA.) has launched an extraordinary attack on the current management after £100million was wiped off the company’s value following a profit slump. Bob Mackenzie, 65, who was kicked out last year for gross misconduct after allegedly punching a colleague, is suing his ex-employer for £225million. He, and the AA’s previous private equity owners were blamed by new chief Simon Breakwell, left, for the poor performance.
Barclays apologises after incorrectly telling some customers they didn’t have PPI. Barclays (BARC) is contacting tens of thousands of customers it incorrectly told were not entitled to compensation for mis-sold payment protection insurance (PPI). The banking giant admitted some customers who contacted them to check if they had PPI through a claims management company were wrongly told they didn’t.
Anne Stevens, ex-GKN boss who bagged a bonus, now in charge of pay. The former chief executive of GKN has been put in charge of pay at Anglo American (AAL), months after taking home an estimated £2.5 million from her 16-week stint leading the engineering group’s unsuccessful defence against an £8 billion takeover bid. Pirc, the shareholder advisory group, said that it had significant concerns about the appointment, which will put Ms Stevens in charge of determining bonus policy at the miner less than a year after reaping £1.8 million as part of a contentious bonus award at GKN.
Boohoo sales are firing on all cylinders. High demand for swimwear, bodycon dresses and cycling shorts this summer helped to drive a 50 per cent surge in sales at Boohoo.com (BOO) , sending the shares in the online retailer up 11% after it lifted forecasts for the year. Total sales rose to £395.3 million in the six months to August 31, beating City forecasts as the fashion group’s Pretty Little Thing and Nasty Gal brands doubled revenues. Pre-tax profits rose 22% to £24.7 million.
Hurricane disrupts Elementis. The ill wind of Hurricane Florence, which killed nearly 50 people on the US eastern seaboard, also hit Elementis (ELM) . The company said its Castle Hayne facility in North Carolina has stopped producing chromium after severe flooding. But it expects to resume production next month and the stock closed only ¼p down at 267p. Chromium is used in industrial coatings to make components more durable, and it is also used in the beauty market.
Mitie shares sink after outsourcing group predicts flat profits. Investors in Mitie Group (MTO) baulked after the struggling outsourcer warned its profits would suffer due to challenges in its social housing and cleaning arms and amid tough competition in the sector. The company, which performs services ranging from catering to security and IT support for blue chip clients including Sky, PwC and central government, said operating profits in the six months to September would be flat or slightly below last year’s £32.6m.
Brewer Shepherd Neame targets ‘beer curious’ Britons. The country’s oldest brewer has plans to target burgeoning numbers of “beer curious” Britons who are jumping on the craft beer bandwagon. Shepherd Neame (SHEP), which was established in 1698, is planning to use its heritage as a springboard to challenge disruptive craft brewers. Chief executive Jonathan Neame promised “more innovation over the next few years”. Speaking as Shepherd Neame posted a year of “consistent growth”, Mr Neame said Britain’s beer drinkers were “very savvy about provenance, authenticity and the genuine article”.
Fastjet on a journey to nowhere. Fastjet (FJET) has said it urgently needs more cash within a month for it to continue operating, sending its shares tumbling by nearly 50%. The African budget airline, which was launched in 2012 and is modelled on no-frills airlines such as Easyjet and Ryanair, has been running short of cash for more than two years and it was unclear if investors would continue to back the company. Its shareholders include M&G Investments, Janus Henderson and Solenta, a South African carrier.
Halfords looks to prop up wobbly rival. Britain’s biggest bike retailer is trying to rescue its rival, which has fallen victim to challenging high street conditions. Halfords Group (HFD) has tabled a provisional proposal to buy Evans Cycles, which is trying to agree to a takeover to secure its future. It is one of several parties to have made indicative offers in recent days, according to Sky News.
